Home Sectors Basic Materials Recent Valuation: Compass Minerals Intl Inc (NYSE: CMP)

Recent Valuation: Compass Minerals Intl Inc (NYSE: CMP)

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Compass Minerals Intl Inc is part of the metals and mining industry and is part of the basic materials sector. The company CEO is Richard S. Grant. Compass Minerals International Inc is associated with the mining industry. It produces minerals, including salt, sulfate of potash specialty fertilizer and magnesium chloride.

Previous Intraday Trading Performance:

The CMP stock showed a previous change of 2.44% with an open at 53.47 and a close of 54.23. It reached an intraday high of 54.60 and a low of 53.16.

SeekingAlpha:  Compass Minerals’ Dividend Is Hanging By A Thread

Liquidity:

The stock has a market cap of $1.8b with 33.9m shares outstanding, of which the float is 32.5m shares. Trading volume reached 412,352 shares compared to its average volume of 420,953 shares. Based on the current average volume and close price, the trading liquidity is bad, highly speculative and an investor may want to avoid this stock.

Historical Trading Performance:

Over the last five trading days, Compass Minerals Intl Inc shares returned 3.06% and in the past 30 trading days it returned 30.36%. Over three months, it changed 19.88%. In one year it has changed -22.52% and within that year its 52-week high was 71.25 and its 52-week low was 38.19. CMP stock is 42.00% above its 52 Week Low.

Our calculations show a 200 day moving average of 58.19 and a 50 day moving average of 47.21. Currently CMP stock is trading -6.81% below its 200 day moving average and may not be a good opportunity to buy as it may continue to trend down.

SeekingAlpha:  Compass Minerals International, Inc. (CMP) CEO Dick Grant on Q4 2018 Results – Earnings Call Transcript

Earnings:

The last annual fiscal EPS for the company was reported at 2.01 that ended on 31st of December 2018, which according to the previous close, that is a PE of 26.98. Based on 2 analyst estimates, the consensus EPS for the next quarter is 1.80. The TTM EPS is 1.92, which comes to a TTM PE of 28.24. Historically, the PE high was 61.30 and the PE low was 11.00. If the stock reached its PE low, that would represent a price of 21.12, which is a decrease of -61.05%.

The following are the last four quarter reported earnings per share:
12-31-2018:  1.41
09-30-2018:  0.37
06-30-2018:  -0.23
03-31-2018:  0.37

The dividend per share is currently 2.88, which is a dividend yield of 5.31%. CMP stock may not have enough earnings to cover future dividends and still be able to invest in the business, therefore the dividend may be cut in the future.

Base on our calculations, the intrinsic value per share is 41.51, which means it may be overvalued by -30.63%

Indicators to Watch:

Based on the latest filings, there is 140.60% of institutional ownership. Short-interest is 2,956,124, which is 8.73% of shares outstanding. The short-interest ratio or days-to-cover ratio is 6.83. This stock has a moderate level of short interest, but may still be a buying opportunity depending on other indicators.

The current calculated beta is 1.36

SeekingAlpha:  Compass Minerals International, Inc. 2018 Q4 – Results – Earnings Call Slides

Fundamental Indicators:

Based on last reported financials, the company’s return on assets is 2.80%, profit margin is 4.66%, price-to-sales is 1.20 and price-to-book is 3.37.

Company Scores:

All scores are out of six:
 1  :Valuation Score
 2  :Past Performance Score
 1  :Financial Strength Score
 4  :Future Growth Score
 5  :Dividend Score
 2  :Overall Score

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John Jones
Worked for several Wall Street firms: Salomon Smith Barney, UBS, and Charles Schwab. Has developed skills and gained extensive experience over the years that is used today to uncover winning penny stocks.Also was an attorney for small businesses in Scottsdale, Arizona. That experience and understanding of law provides a unique perspective and edge in discovering quality companies in various industries.